Pendulum (PEN) Tokenomics

PEN will be the native token of Pendulum. PEN utilities include powering transactions as the gas token on Pendulum as well as governance and staking. This article will detail the tokenomics of PEN, keep an eye out for the next article detailing the utilities of PEN.

Tokenomics Overview

Ticker: PEN

Relay Chain: Polkadot

Supply Structure: Inflationary

Total Supply: 200,000,000

Initial Circulating Supply: 15,200,000

Supply at Genesis: 160,000,000

Distribution

The distribution maintains a balance between Pendulum’s early supporters and the Pendulum community with an even 50/50 split.

Community Distribution

The chart below shows the percentage that each community bucket takes up from the community bucket that takes up 50% of the total PEN total allocation. The community distribution includes staking rewards for directly staking PEN (28%) as well as staking rewards related to Spacewalk bridge (12%). The Polkadot crowdloan waitlist is now open where you can earn bonus rewards for signing up early. Note that the crowdloan reserve allocates tokens to support funding of future parachain slots

Backers Distribution

The below chart shows the distribution of tokens to Pendulum’s early backers that have supported the building of Pendulum and Amplitude for over 1 year now.

Note: The percentages in the Community and Backers charts should be halved to find the percentage of the overall tokenomics. For example, Staking Rewards is 14% of the overall tokenomics and 28% of the Community bucket.

Vesting Schedule

Below is the vesting schedule for all community and backer tokens. Most of the tokens include a vesting schedule that unlocks linearly over 2 to 3 years to ensure all participants are incentivized to work towards Pendulum’s long-term growth.

Crowdloan PEN Token Details

The vesting schedule for crowdloan participants is 10% unlocked at TGE and the remaining 90% vested linearly over 96 weeks (Polkadot parachain lease period). Remember that when redeeming your DOT, your DOT will be unlocked and returned to you without any input required. Full details:

Eligibility

• Participants must have a Polkadot account
• Participants must hold a minimum of 5 DOT in their accounts
• Users must agree to Pendulum’s Terms and Conditions. Note: No KYC is required

How to participate

• Contribute via our website once the crowdloan is live
• Lock up your DOT for the parachain lease period (96 weeks)

Rewards

Bonus PEN tokens on your contribution:

• 5% for signing up on the waitlist
• 5% for participating in the amplifier campaign
• 5% of every contribution from your friends that contribute via your referral link
• 3% for contributors of the Amplitude Kusama crowdloan
• 15% bonus if your contribution is in the first 100,000 DOT
• 10% if your contribution is in the first 100,001–200,000 DOT
• 5% if your contribution is in the first 200,001–300,000 DOT

Summary

Decentralized forex is coming to DeFi and we designed the PEN tokenomics to have everyone on this journey aligned toward achieving this long-term goal! You can join the Pendulum Polkadot crowdloan waitlist here, it only takes 1 minute. For more details on the Pendulum crowdloan process, bonuses, and participation details, please visit our FAQs page and feel free to swing by our Telegram or Discord channels!

About Amplitude

Pioneering the internet of fiat. Amplitude is the sister network of Pendulum on Kusama. It will act as a testing ground for Pendulum applications and network parameters and be powered by the AMPE token.

About Pendulum

Building the missing link between fiat and DeFi through a fiat-optimized smart contract blockchain based on Polkadot’s Substrate. Allowing traditional finance fiat services to integrate with DeFi applications such as specialized forex AMMs, lending protocols, or yield farming opportunities. Developed by SatoshiPay.

Keep your eyes on the Pendulum!

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